Rainbow Rare Earths has recently launched a mining project in Gakara commune in Bujumbura province. Different activists say there is opacity all around this mining project but Rainbow Burundi Mining (RBM) refutes the accusations.
Midende Gilbert “There is nothing hidden, whoever needs the contract can see it”.
In a press conference held this 6 October 2017, Gilbert Midende, RBM Director, says nothing is hidden in the contract with Burundi government about Gakara Mining Project.
Midende says the contract is available and public to whoever needs to see it. “According to the International Convention in its 88 article, it has to be published on the company website and in Burundi Official Bulletin; what was done. I don’t know who has refused to show the contract.” says Midende
He added that the project was carefully studied before they would begin the extraction phase. “We spent five years exploring the area. There was a study about environmental impact that may occur; a compensation and resettlement plan was elaborated together with the local authorities and population”, says Midende.
The RBM Director says the government and all the population will gain more from the project as the latter will have positive repercussions on the country’s economy. “RBM will invest more than USD 7M and around USD 5M will be spent this year. It will pay 4 % of its annual turnover. RBM will pay 30 % on income tax”.
Gabriel Rufyiri, Chairman of the Observatory for the Fight against Corruption and Embezzlement (OLUCOME) says there are rules and regulations for public mining market at international level. “There has to be a public tender at the international level as stipulated by EITI (Extractive Industries Transparency Initiative)”.
Rufyiri says there was no transparency in RBM tender offer. “Every company that wins a mining market has to publish the tender in an international newspaper. In which newspaper was it published?” asks OLUCOME Chairman.
He reminds that rare earths have generated conflicts all over the world and asks for clarifications about the project.
Rufyiri also says the population has to benefit from the exploitation of those rare earths.
Rainbow Burundi Mining has a twenty-five-year contract to extract the rare earths in Mutambu and Kabezi Commune. It will begin with Gasarwe hill and the objective is to export 5 thousand tons of minerals per year valued at USD 10M to USD 15M.
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